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Executive Order Aims to Cut Worker Turnover in Federal Service Contracts

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President Biden has signed an executive order to improve federal procurement by reducing turnover among workers supporting government functions. 

The new policy will offer workers the right of first refusal when a contract changes hands to cut time and costs spent on recruiting and training new employees, the White House said Thursday.

The order will require new contractors to give workers who performed their jobs well on the previous contract the opportunity to keep their jobs to prevent disruptions during the transition and maintain information security.

The move is also aimed at helping produce a diverse pool of skilled and experienced employees who are already familiar with working for the federal government.

“There are about 2 million service contract workers, covering a range of jobs and responsibilities – from maintenance on military bases to call centers to transportation to research and development,” the EO stated.

However, federal service contract workers are disproportionately women and people of color. The order builds on the policies introduced during the Obama administration and is part of a broader effort of the Biden-Harris administration to advance its equity goals.